NTAP, CTXS, RAX Potential Cisco Acquisition Targets, Says Bloomberg

By Tiernan Ray

Bloomberg‘s Jordan Robertson and Lindsey Ruppthis afternoon reflect on the prospect of NetApp (NTAP), Citrix Systems (CTXS), or Rackspace Hosting (RAX) could be acquisition targets for Cisco Systems (CSCO), given a statement by Cisco John Chambers a week ago that Cisco has gone too long without a major acquisition.

Writing that Cisco’s two-year run of sub-8% revenue growth, and projections for the same over the next three years, are “an unprecedented streak” (for Cisco, one presumes), the authors write that Thrivent Financial has opined Citrix might be an appealing target, as would NetApp. JMP Securities considers a desirable target, they write.

Citrix shares today rose $1.16, or 1.8%, to cose at $66.18. The stock is up 9% for the year so far.

NetApp shares closed up 19 cents, or 0.6%, at $33.18. It is off 8.5% this year.

And RackSpace closed down 18 cents at $68.55. RAX is up 60% this year.

About Tech Trader Daily

Tech Trader Daily is a blog on technology investing written by Barron’s veteran Tiernan Ray. The blog provides news, analysis and original reporting on events important to investors in software, hardware, the Internet, telecommunications and related fields. Comments and tips can be sent to: techtraderdaily@barrons.com.